The subject invention relates generally to a system and method for managing accounts payable and accounts receivable.
As described in U.S. Pat. No. 6,044,362, invoicing and payment collection has always been a very labor intensive and paper intensive process. Typically the process has involved an invoicer, usually a business, who prepares an invoice detailing the goods and services provided and the charges therefor. The invoice is mailed to a customer who verifies the correctness of the invoice and returns a payment coupon of some type along with a paper check to the invoicer. The invoicer then submits the paper check to its bank for payment through, for example, the Automated Clearing House (ACH) network. Other similar payment systems include writing a credit card number and endorsing and preauthorization to draft an account on a monthly basis up to preset limits, such as regularly paying utility bills from a checking account.
To automate this process, attempts have been made to utilize the services of third parties that receive and transmit between the invoicer and the banks involved electronic information relating to payments due from a customer. Although these systems appear to streamline the process, they, in fact, may add a great deal of complexity and no small amount of expense to the process. Such electronic systems are described in, for example, U.S. Pat. No. 5,383,113; U.S. Pat. No. 5,283,829; U.S. Pat. No. 5,220,501; and U.S. Pat. No. 5,465,206.
Still further, U.S. Pat. No. 6,044,362 describes an electronic invoicing and payment system for providing customers an opportunity to review and modify payment instructions carried out by the invoicer (i.e., a vendor of goods and/or services). The described system includes invoice presentment electronics having a control system and at least one remote authorization terminal having a customer interface. The control system of the invoice presentment electronics is adapted to provide billing data to the remote authorization terminal whereby the customer interface may be used to provide a response indicating one of acceptance of the billing data for automated billing or modification of the billing data for modifying automated billing.
While the aforementioned systems generally work for their intended purpose, they do, however, suffer the disadvantage that the systems are customer-centric, i.e., the customer is required to manage all information pertaining to the accounts payable process. It will also be appreciated that, in such systems, the vendor is placed at the disadvantage of not being able to gain access to information related to accounts payable, e.g., to view the status of outstanding invoices. Accordingly, a need exists for a system and method that will allow a vendor to have increased participation in the accounts payable process. More specifically, a need exists for a system and method that will allow a vendor access to their own accounts payable records with a customer, e.g., to view invoice status, to initiate payments for goods and/or services, etc.